Pagoda.com, an internet service provider, needs to make a decision as to whether or not the company should outsource its online help desk service to a firm in New Delhi, India. Pagoda.com caters to individual consumers and small businesses who require a high level of service and are willing to pay a premium for it. Pagoda.com offers state-of-the-art email applications and web building software, as well as plenty of storage space and fast access via its high-speed servers. Pagoda's customers are more concerned with the high quality service that they receive than they are with the costs associated with it. Their customers It is not a good idea for Pagoda to make this change without first notifying their customers of the change.
Alternative 3: Pagoda can send out a survey to their customers to get their input on whether or not they would be interested in having Pagoda outsource the online help desk service in order to help the company realize a better cost savings to apply towards future research and innovation. Pagoda would only make the switch if the majority of the survey responses are in favor of them outsourcing to the New Delhi firm.
Pros: Pagoda would have customer buy-in towards the decision that is made on whether or not to outsource the online help desk service. When customers opinions and feedback are considered and they play a part in the company's decision-making process, then the customers are more likely to embrace the change and may react more positively in their interaction with the New Delhi firm.
Cons: Once the customers are made aware of the change that is taking place, they may become more hyper-aware and sensitive to any glitches or problems that they may encounter going forward. Often times when people are looking for problems and issues too occur, they find them all too often and the customers may become easily dissatisfied with
